Over $10 Billion in Funding Cut to Five States Over Alleged Fraud, Trump Says

Donald Trump is taking aim at Democratic-led states again, and this time, the stakes are high. The administration is freezing more than $10 billion in federal funding for five states—California, Colorado, Illinois, Minnesota, and New York—citing alleged fraud concerns.

The withheld money comes from programs that support social services, child care, and family assistance, including the Temporary Assistance for Needy Families (TANF) program, the Child Care Development Fund (CCDF), and the Social Services Block Grant.

Here’s the breakdown:

TANF: $7.3 billion
CCDF: $2.4 billion
Social Services Block Grant: $869 million
According to HHS, these funds were at risk of being misused, possibly benefiting non-citizens. Andrew Nixon, an HHS spokesperson, said, “We’re ensuring federal taxpayer dollars are being used for legitimate purposes. These states must follow the law and protect hard-earned taxpayer money.”ACF Assistant Secretary Alex Adams also wrote to the states, noting that recent federal prosecutions and additional allegations suggested that some federal resources may have been fraudulently diverted from the American families they were meant to help.

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